MSN Direct Introduces New Pricing Options for Consumers

REDMOND, Wash., Oct. 1, 2004 — Microsoft Corp. today announced new pricing options for the MSN
Direct service, which provides personalized content and information to Smart Watches. Beginning this week, customers can select from the following plans for added convenience and value:

  • Smart Plan. For $39.95 (U.S.)/$54.95 (CDN) per year,* subscribers can receive news, entertainment content, horoscopes and sports updates, weather forecasts, and personalized stock and lottery information.

  • Smart Plan Plus. For an additional $20 (U.S.)/$25 (CDN) per year,* customers can upgrade their service to include personal messages and calendar appointments.

  • Monthly Plan. For customers who prefer it, Smart Plan Plus charges can be broken into monthly payments of $9.95 (U.S.)/$13.95 (CDN).*

Subscribers choose the information they want to receive on their watch by visiting the MSN Direct Web site. Since the launch of Smart Watches, Microsoft has doubled the number of available content channels by extending the offerings to include daily diversions as well as sports, horoscope and lottery information.

To provide people with a glimpse of available MSN Direct content, all Smart Watches for MSN Direct will begin to receive select content automatically from the time of purchase.* Beginning in mid-October, this content will include national news headlines, local temperature information and stock indices. These data feeds will supplement the standard Smart Watch features, which include adjustable watch faces, monthly calendar view, timers, alarms, a chronometer and automatic time zone adjustment.

Information about retail availability and service options for Smart Watches for MSN Direct can be found at .

About MSN Direct

MSN Direct, part of the Smart Personal Objects Technology initiative, is a specialized wireless service that combines technology and fashion to deliver customized and personalized information to people. Those interested in learning more about MSN Direct can visit .

About Microsoft

Founded in 1975, Microsoft (Nasdaq “MSFT”) is the worldwide leader in software, services and solutions that help people and businesses realize their full potential.

* Only MSN Direct-ready devices can receive the MSN Direct service. To receive MSN Direct on an MSN Direct-ready device, you must be within an MSN Direct coverage area; check the current coverage maps available at . Prices subject to change. More information about MSN Direct devices, services, pricing, coverage and availability can be found at .

Microsoft and MSN are either registered trademarks or trademarks of Microsoft Corp. in the United States and/or other countries. The names of actual companies and products mentioned herein may be the trademarks of their respective owners.

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